Posted on 05/22/2008 4:52:33 AM PDT by Quaker
Well, at least she had the decency to recuse herself on two votes relating to the California housing crisis.
Too bad (for her) that her gamble didn’t pay off. Maybe she should try the racetracks next time.
Regards,
It’s someone else’s fault, no doubt.
Aren’t home mortgages non recourse in California, i.e., owners can walk w/o being liable for any deficiency?
Yes, IIRC.
It’s one of the few states with this “loophole”.
State of Washington is another one. It’s a good law. It penalizes lenders who make loans on over-valued houses.
Why is this even newsworthy? We can see their fiscal philosophy with every budget proposal.
It's a bad law. It rewards deadbeats who won't pay their debts.
A good law would punish reckless lenders by slashing their recovery and punish reckless borrowers by forcing them to take some responsibility.
It's a two-way street.
And it seems kind of silly to argue, as some do, that banks take advantage of people who don't know any better.
If a US Congressman cannot be expected to know any better, then all loans ever made are predatory.
I believe that she could have paid her mortgage on her Congressional salary. What a rotten example.
It doesn’t penalize the lenders. It peanalizes people with good credit who might not now get a loan or who will pay much more for one.
Congressional Ethics committee might be interested.
Opps, didn’t see the (D). Never mind.
Yeah, the "flip" that flopped.
Still, I estimate she's out about $60,000 (assuming she made 24 payments).
Kind of like what the Democrats are doing to California and want to do to the US.
Hillary or Barack could have provided her with a loan officer.(cough,cough)
If she purchased it for $135,000, her mortgage couldn’t be that high. Did she purchase it as an investment? There’s more to this story...
From looking at a couple pieces on this I don’t think she made very many payments and she refinanced the house after she bought it and used part of the money to loan her election fund $60,000. Which I’m guessing she will still get paid back to herself. Both loans were zero down; the first for $535K and the second for $578K
She may have never made a payment and profited $40K from the deal...
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